Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended |
Sep. 30, 2013 | |
Document and Entity Information | ' |
Entity Registrant Name | 'RECEIVABLE ACQUISITION & MANAGEMENT CORP |
Document Type | '10-Q |
Document Period End Date | 30-Sep-13 |
Amendment Flag | 'false |
Entity Central Index Key | '0000733337 |
Current Fiscal Year End Date | '--12-31 |
Entity Common Stock, Shares Outstanding | 195,513,959 |
Entity Filer Category | 'Smaller Reporting Company |
Entity Current Reporting Status | 'Yes |
Entity Voluntary Filers | 'No |
Entity Well-known Seasoned Issuer | 'No |
Document Fiscal Year Focus | '2013 |
Document Fiscal Period Focus | 'Q3 |
BALANCE_SHEET
BALANCE SHEET (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
CURRENT ASSETS | ' | ' |
Cash | $5,848 | $3,415 |
Accounts Receivable | 511,225 | 412,737 |
Prepaid expenses | 53,596 | ' |
Total current assets | 570,669 | 416,152 |
Intangible asset - license agreement | 245,609 | ' |
TOTAL ASSETS | 816,278 | 416,152 |
CURRENT LIABILITIES | ' | ' |
Accounts payable and accrued expenses | 403,846 | 115,490 |
Due to Licensor | 187,000 | ' |
Advances Payable | 20,599 | 2,000 |
Total current liabilities | 611,445 | 117,490 |
TOTAL LIABILITIES | 611,445 | 117,490 |
STOCKHOLDERS' EQUITY | ' | ' |
Common stock value | 196,514 | ' |
Additional paid-in capital | 94,050 | ' |
Retained earnings (deficit) | -85,731 | 298,662 |
Total stockholders' equity | 204,833 | 298,662 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $816,278 | $416,152 |
Balance_Sheets_Parenthetical
Balance Sheets (Parenthetical) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
Balance Sheet | ' | ' |
Common stock, par value | $0.00 | $0.00 |
Common stock, shares authorized | 325,000,000 | 325,000,000 |
Common stock, shares issued | 196,513,959 | ' |
Common stock, shares outstanding | 196,513,959 | ' |
STATEMENT_OF_OPERATIONS
STATEMENT OF OPERATIONS (USD $) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | |
INCOME | ' | ' | ' | ' |
Project management | $260,150 | $196,650 | $730,775 | $478,625 |
Other | ' | ' | ' | 2,013 |
Total income | 260,150 | 196,650 | 730,775 | 480,638 |
EXPENSES | ' | ' | ' | ' |
Consulting fees | 231,633 | 105,386 | 591,207 | 298,577 |
General and administrative | 26,414 | 4,211 | 41,869 | 19,449 |
Legal and other professional fees | 104,650 | 88 | 195,598 | 256 |
Total expenses | 362,697 | 109,685 | 828,674 | 318,282 |
NET INCOME (LOSS) | ($102,547) | $86,965 | ($97,899) | $162,356 |
NET INCOME (LOSS) PER COMMON SHARE | $0 | $0 | $0 | $0 |
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING | 196,200,772 | 176,390,063 | 186,331,047 | 176,390,063 |
STATEMENT_OF_STOCKHOLDERS_EQUI
STATEMENT OF STOCKHOLDERS' EQUITY (USD $) | Common Stock | Additional Paid-in Capital | Retained Earnings (Deficit) | Total Stockholders' Equity |
Beginning Balance, amount at Dec. 31, 2012 | ' | ' | $298,662 | $298,662 |
Distributions | ' | ' | -174,969 | -174,969 |
Shares issued in reverse merger, shares | 176,390,063 | ' | ' | ' |
Shares issued in reverse merger, value | 176,390 | ' | -92,351 | 84,039 |
Reverse merger adjustment, shares | 19,173,896 | ' | ' | ' |
Reverse merger adjustment, value | 19,174 | ' | -19,174 | ' |
Shares issued in in exchange for consulting services, shares | 950,000 | ' | ' | ' |
Shares issued in in exchange for consulting services, value | 950 | 94,050 | 94,050 | 95,000 |
Net income for the period | ' | ' | -97,899 | -97,899 |
Ending Balance, amount at Sep. 30, 2013 | $196,514 | $94,050 | ($85,731) | $204,833 |
Ending Balance, shares at Sep. 30, 2013 | 196,513,959 | ' | ' | ' |
STATEMENT_OF_CASH_FLOWS
STATEMENT OF CASH FLOWS (USD $) | 9 Months Ended | |
Sep. 30, 2013 | Sep. 30, 2012 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ' | ' |
Net income (loss) | ($97,899) | $162,356 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' |
Shares issued for consulting services | 95,000 | ' |
Amortization - license agreement | 3,100 | ' |
Changes in assets and liabilities: | ' | ' |
Accounts receivable | -98,488 | -4,236 |
Accounts payable and accrued expenses | 288,356 | ' |
Prepaid expenses | -53,596 | ' |
License agreement payments | -13,000 | ' |
Total adjustments | 221,372 | -4,236 |
Net cash provided by operating activities | 123,473 | 158,120 |
CASH FLOWS FROM INVESTING ACTIVITIES | ' | ' |
Cash received from reverse merger acquisition | 53,929 | ' |
Net cash proveded by investing activities | 53,929 | ' |
CASH FLOWS FROM FINANCING ACTIVITIES | ' | ' |
Distributions | 174,969 | 128,723 |
Advances payable | ' | 2,000 |
Net cash used by financing activities | -174,969 | -126,723 |
NET INCREASE IN CASH | 2,433 | 31,397 |
CASH, BEGINNING OF PERIOD | 3,415 | ' |
CASH, END OF PERIOD | 5,848 | 31,397 |
NON CASH INVESTING ACTIVITY | ' | ' |
Shares issued for license agreement | $48,709 | ' |
Organization_and_Nature_of_Bus
Organization and Nature of Business | 3 Months Ended |
Sep. 30, 2013 | |
Notes | ' |
Organization and Nature of Business | ' |
1. Organization and Nature of Business | |
Receivable Acquisition and Management Corp. (the “Company” or “RAMCO”), a public reporting entity, was in the business to purchase, manage and collect defaulted consumer receivables. RAMCO ceased investments in distressed consumer credit portfolios in September 2007 and since then was in the process of running off existing portfolios. | |
Sustainable Energy LLC (Sustainable LLC) is a New York Limited Liability Company formed on July 26, 2010. Sustainable LLC is involved in developing and improving the efficiency of energy infrastructure using a combination of traditional and advanced technologies. On March 29, 2013, Sustainable LLC contributed certain assets and liabilities into a newly formed entity, Sustainable Energy Industries, Inc. (Sustainable). At the time, Sustainable LLC had only a license agreement with a third party and limited assets, liabilities and operations. | |
Cornerstone Program Advisors LLC (Cornerstone) is a Delaware limited liability company formed on January 5, 2009. Cornerstone is an energy infrastructure project management company focused on healthcare and higher learning institutions. | |
On March 29, 2013, RAMCO entered into a definitive reverse merger agreement (“the agreement”) with Cornerstone and Sustainable. Under the terms of the agreement, RAMCO entered into a voluntary share exchange transaction with Cornerstone and Sustainable whereby approximately 90% of RAMCO’s common stock was issued to the members and shareholders of Cornerstone and Sustainable and in exchange, RAMCO acquired the entire membership interest in Cornerstone and all the issued and outstanding shares of Sustainable. At the closing of the agreement on May 15, 2013, the management of Cornerstone and that of Sustainable assumed control of RAMCO’s operations. | |
The Merger was accounted for as a reverse merger using the purchase method of accounting, with the former members and shareholders of Cornerstone and Sustainable controlling approximately 90% of the issued and outstanding common shares of RAMCO after the closing of the transaction. Cornerstone was deemed to be the acquirer for accounting purposes and the financial statements are presented as a continuation of Cornerstone and include the results of operations of Cornerstone since incorporation on January 9, 2009, and the results of operations of the RAMCO and Sustainable since the date of acquisition on May 15, 2013. Also in August 2013, the Company changed its year end from September 30 to December 31. | |
Following the Merger, the Company adopted a business plan to build on the business of Cornerstone and Sustainable in energy infrastructure and alternative energy. |
Significant_Accounting_Policie
Significant Accounting Policies | 3 Months Ended |
Sep. 30, 2013 | |
Notes | ' |
Significant Accounting Policies | ' |
2. Significant Accounting Policies | |
Basis of Presentation and Use of Estimates | |
The Company prepares its financial statements in conformity with accounting principles generally accepted in the United States of America which requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Some of the more significant estimates required to be made by management include recognition of income for work completed and unbilled to customers and the allowance for doubtful accounts. Actual results could differ from those estimates. | |
Unaudited Financial Statements | |
The accompanying unaudited financial statements have been prepared in accordance with generally accepted accounting principles for financial information and with the instructions to Form 10-Q. They do not include all information and footnotes required by generally accepted accounting principles accepted in the United States of America for complete financial statements. The unaudited financial statements should be read in conjunction with those financial statements included in the Company’s previously filed Form 8-K/A, Form 10-Q and Form 10-K. In the opinion of Management, all adjustments considered necessary for a fair presentation, consisting solely of normal recurring adjustments, have been made. Operating results for the three and nine months ended September 30, 2013 are not necessarily indicative of the results that may be expected for the year ending December 31, 2013. | |
Cash | |
The Company continually monitors its positions with, and the credit quality of, the financial institutions it invests with. From time to time, however briefly, the Company maintains balances in operating accounts in excess of federally insured limits. | |
Accounts Receivable | |
Receivables are stated at the amount management expects to collect from outstanding balances. Management provides for probable uncollectible amounts through a charge to earnings and a credit to a valuation allowance based on its assessment of the current status of individual accounts. At September 30, 2013, no allowance for doubtful accounts has been provided. | |
Income Recognition | |
The Company recognizes income for the sale of services and products when persuasive evidence of an arrangement exists, services have been rendered or delivery has occurred, the fee is fixed or determinable and the collectability of the related income is reasonably assured. | |
The Company principally derives income from fees for services generated on a project-by-project basis. Prior to the commencement of a project, the Company reaches agreement with the client on rates for services based upon the scope of the project, staffing requirements and the level of client involvement. It is the the Company’s policy to obtain written agreements from new clients prior to performing services. In these agreements, the clients acknowledge that they will pay based upon the amount of time spent on the project or an agreed upon fee structure. Income for services rendered are recognized on a time and materials basis or on a fixed-fee or capped-fee basis in accordance with accounting and disclosure requirements for income recognition. | |
Fees for services that have been performed, but for which the Company has not invoiced the customers are recorded as unbilled receivables. | |
Income for time and materials contracts are recognized based on the number of hours worked by the Company’s advisors at an agreed upon rate per hour and are recognized in the period in which services are performed. Income for time and materials contracts are billed monthly or in accordance with the specific contractual terms of each project. | |
License Agreement | |
The cost of the license agreement (see note 4) is being amortized on a straight-line basis over 20 years. The license agreement is reflected in the accompanying September 30, 2013 balance sheet net of accumulated amortization of $3,100. | |
Income Taxes | |
The Company recognizes the tax benefits of uncertain tax positions only where the position is “more likely than not” to be sustained assuming examination by the taxing authorities. Management has analyzed the Company’s tax positions, and has concluded that no liability for unrecognized tax benefits should be recorded related to uncertain tax positions taken on returns filed for open tax years (2009 - 2012). | |
Basic and Diluted Net Income (Loss) per Share | |
The Company computes income (loss) per share in accordance with “ASC-260”, “Earnings per Share” which requires presentation of both basic and diluted income (loss) per share on the face of the statement of operations. Basic income (loss) per share is computed by dividing net income available to common shareholders by the weighted average number of outstanding common shares during the period. Diluted income (loss) per share gives effect to all dilutive potential common shares outstanding during the period. Dilutive income (loss) per share excludes all potential common shares if their effect is anti-dilutive. | |
The Company has no potential dilutive instruments and accordingly basic income (loss) and diluted income per share are the same. | |
The weighted average number of shares used in computing the income per share has been adjusted to give effect to the reverse merger described in Note 1. | |
Subsequent Events | |
Management has evaluated subsequent events for disclosure and/or recognition in the financial statements through the date that the financial statements were available to be issued. |
Related_Party_Transactions
Related Party Transactions | 3 Months Ended |
Sep. 30, 2013 | |
Notes | ' |
Related Party Transactions | ' |
3. Related Party Transactions | |
Consulting Fees | |
Certain stockholders of the Company and entities affiliated with management perform services to customers and were compensated at various rates. Total consulting expenses incurred by these entities amounted to $570,327 and $200,090 for the nine months ended September 30, 2013 and 2012, respectively. | |
Advances Payable | |
The advances payable are due to officers of the Company with no specified repayment terms. |
License_Agreement_Note
License Agreement Note | 3 Months Ended |
Sep. 30, 2013 | |
Notes | ' |
License Agreement Note | ' |
4. License Agreement | |
On November 15, 2012, Sustainable LLC entered into a renewable 20-year engine technology license agreement (the “Agreement”) with a third party licensor (the “Licensor”) that developed engines capable of converting low grade heat into other forms of energy. Under the terms of the Agreement, Sustainable LLC obtained certain exclusive license rights in the engines developed by the Licensor which would permit Sustainable LLC to develop, manufacture and integrate such engines into its projects. | |
The exclusive market rights of the Agreement provide that Sustainable LLC make a cash payment of $200,000 and issue common stock in Sustainable representing a small minority ownership position in the Company (see note 1), along with periodic quarterly payments of $25,000 commencing six months after the initial $200,000 payment. These payments reset to $50,000 per quarter after three payments, and are subject to further resets to up to $100,000 depending on engine sales volume. Under certain circumstances, engine royalty fees and referral fees can increase the quarterly payment from time to time. In the event of non-payment, Sustainable retains a non-exclusive license subject to royalty fees. | |
On May 15, 2013, in connection with the Merger (see note 1), the Company, after acquiring 100% ownership interest in Sustainable, issued 2,435,430 shares to the Licensor which represents the small minority position in the Company as required under the terms of the Agreement. At the time of issuance, these shares were valued at $48,709 representing the fair value of the RAMCO shares. | |
In addition, during the nine months ended September 30, 2013, the Company made payments of $13,000 that were applied against the required initial $200,000 cash payment as stated under the terms of the Agreement. | |
The accompanying September 30, 2013 balance sheet presents the carrying value of the license fee at $245,609, consisting of the $200,000 required payments under the Agreement and $48,709, representing the fair value of shares issues to the Licensor. In addition, the accompanying balance reflects $187,000 due to the Licensor, representing the remaining liability from the initial $200,000 required payment. | |
The Company periodically performs an analysis of its contractual rights and arrangements and establishes asset value based on that analysis. |
Concentrations
Concentrations | 3 Months Ended |
Sep. 30, 2013 | |
Notes | ' |
Concentrations | ' |
5. Concentrations | |
The Company grants credit in the normal course of business to its customers. The Company periodically performs credit analysis and monitors the financial condition of its customers to reduce credit risk. | |
Two customers accounted for 62.7% and 37.3% during the nine months ended September 30, 2013, and two customers accounted for 84.3% and 15.7% 100% during the nine months ended September 30, 2012, respectively, of total project management income. | |
Two customers accounted for 79.4% and 20.6% of total accounts receivable at September 30, 2013. |
Stock_Issuance
Stock Issuance | 3 Months Ended |
Sep. 30, 2013 | |
Notes | ' |
Stock Issuance | ' |
6. Stock Issuance | |
In July 2013, the Company issued 950,000 shares of common stock to a public relations consultant as compensation for services rendered and to be rendered. |
Significant_Accounting_Policie1
Significant Accounting Policies: Basis of Presentation and Use of Estimates (Policies) | 3 Months Ended |
Sep. 30, 2013 | |
Policies | ' |
Basis of Presentation and Use of Estimates | ' |
Basis of Presentation and Use of Estimates | |
The Company prepares its financial statements in conformity with accounting principles generally accepted in the United States of America which requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Some of the more significant estimates required to be made by management include recognition of income for work completed and unbilled to customers and the allowance for doubtful accounts. Actual results could differ from those estimates. |
Significant_Accounting_Policie2
Significant Accounting Policies: Unaudited Financial Statements (Policies) | 3 Months Ended |
Sep. 30, 2013 | |
Policies | ' |
Unaudited Financial Statements | ' |
Unaudited Financial Statements | |
The accompanying unaudited financial statements have been prepared in accordance with generally accepted accounting principles for financial information and with the instructions to Form 10-Q. They do not include all information and footnotes required by generally accepted accounting principles accepted in the United States of America for complete financial statements. The unaudited financial statements should be read in conjunction with those financial statements included in the Company’s previously filed Form 8-K/A, Form 10-Q and Form 10-K. In the opinion of Management, all adjustments considered necessary for a fair presentation, consisting solely of normal recurring adjustments, have been made. Operating results for the three and nine months ended September 30, 2013 are not necessarily indicative of the results that may be expected for the year ending December 31, 2013. |
Significant_Accounting_Policie3
Significant Accounting Policies: Cash Policy (Policies) | 3 Months Ended |
Sep. 30, 2013 | |
Policies | ' |
Cash Policy | ' |
Cash | |
The Company continually monitors its positions with, and the credit quality of, the financial institutions it invests with. From time to time, however briefly, the Company maintains balances in operating accounts in excess of federally insured limits. |
Significant_Accounting_Policie4
Significant Accounting Policies: Accounts Receivable Policy (Policies) | 3 Months Ended |
Sep. 30, 2013 | |
Policies | ' |
Accounts Receivable Policy | ' |
Accounts Receivable | |
Receivables are stated at the amount management expects to collect from outstanding balances. Management provides for probable uncollectible amounts through a charge to earnings and a credit to a valuation allowance based on its assessment of the current status of individual accounts. At September 30, 2013, no allowance for doubtful accounts has been provided. |
Significant_Accounting_Policie5
Significant Accounting Policies: Income Recognition 1 (Policies) | 3 Months Ended |
Sep. 30, 2013 | |
Policies | ' |
Income Recognition 1 | ' |
Income Recognition | |
The Company recognizes income for the sale of services and products when persuasive evidence of an arrangement exists, services have been rendered or delivery has occurred, the fee is fixed or determinable and the collectability of the related income is reasonably assured. | |
The Company principally derives income from fees for services generated on a project-by-project basis. Prior to the commencement of a project, the Company reaches agreement with the client on rates for services based upon the scope of the project, staffing requirements and the level of client involvement. It is the the Company’s policy to obtain written agreements from new clients prior to performing services. In these agreements, the clients acknowledge that they will pay based upon the amount of time spent on the project or an agreed upon fee structure. Income for services rendered are recognized on a time and materials basis or on a fixed-fee or capped-fee basis in accordance with accounting and disclosure requirements for income recognition. | |
Fees for services that have been performed, but for which the Company has not invoiced the customers are recorded as unbilled receivables. | |
Income for time and materials contracts are recognized based on the number of hours worked by the Company’s advisors at an agreed upon rate per hour and are recognized in the period in which services are performed. Income for time and materials contracts are billed monthly or in accordance with the specific contractual terms of each project. |
Significant_Accounting_Policie6
Significant Accounting Policies: License Agreement Policy (Policies) | 3 Months Ended |
Sep. 30, 2013 | |
Policies | ' |
License Agreement Policy | ' |
License Agreement | |
The cost of the license agreement (see note 4) is being amortized on a straight-line basis over 20 years. The license agreement is reflected in the accompanying September 30, 2013 balance sheet net of accumulated amortization of $3,100. |
Significant_Accounting_Policie7
Significant Accounting Policies: Income Tax Policy (Policies) | 3 Months Ended |
Sep. 30, 2013 | |
Policies | ' |
Income Tax Policy | ' |
Income Taxes | |
The Company recognizes the tax benefits of uncertain tax positions only where the position is “more likely than not” to be sustained assuming examination by the taxing authorities. Management has analyzed the Company’s tax positions, and has concluded that no liability for unrecognized tax benefits should be recorded related to uncertain tax positions taken on returns filed for open tax years (2009 - 2012). |
Significant_Accounting_Policie8
Significant Accounting Policies: Basic and Diluted Net Income Per Share Policy (Policies) | 3 Months Ended |
Sep. 30, 2013 | |
Policies | ' |
Basic and Diluted Net Income Per Share Policy | ' |
Basic and Diluted Net Income (Loss) per Share | |
The Company computes income (loss) per share in accordance with “ASC-260”, “Earnings per Share” which requires presentation of both basic and diluted income (loss) per share on the face of the statement of operations. Basic income (loss) per share is computed by dividing net income available to common shareholders by the weighted average number of outstanding common shares during the period. Diluted income (loss) per share gives effect to all dilutive potential common shares outstanding during the period. Dilutive income (loss) per share excludes all potential common shares if their effect is anti-dilutive. | |
The Company has no potential dilutive instruments and accordingly basic income (loss) and diluted income per share are the same. | |
The weighted average number of shares used in computing the income per share has been adjusted to give effect to the reverse merger described in Note 1. |
Significant_Accounting_Policie9
Significant Accounting Policies: Subsequent Events Policy (Policies) | 3 Months Ended |
Sep. 30, 2013 | |
Policies | ' |
Subsequent Events Policy | ' |
Subsequent Events | |
Management has evaluated subsequent events for disclosure and/or recognition in the financial statements through the date that the financial statements were available to be issued. |
Organization_and_Nature_of_Bus1
Organization and Nature of Business (Details) | Mar. 29, 2013 |
Details | ' |
Reverse merger, shares percentage exchanged | 29.00% |
Recovered_Sheet1
Significant Accounting Policies: License Agreement Policy (Details) (USD $) | Sep. 30, 2013 |
Details | ' |
Accumulated amortization | $3,100 |
Related_Party_Transactions_Det
Related Party Transactions (Details) (USD $) | 9 Months Ended | |
Sep. 30, 2013 | Sep. 30, 2012 | |
Details | ' | ' |
Consulting expenses | $570,327 | $200,090 |
License_Agreement_Note_Details
License Agreement Note (Details) (USD $) | 9 Months Ended | |
Sep. 30, 2013 | 15-May-13 | |
Value of license agreement | $245,609 | ' |
Engine Technology License Agreement | ' | ' |
Shares issued | ' | 2,435,430 |
Value of shares | ' | 48,709 |
Payments made | 13,000 | ' |
Value of license agreement | 245,609 | ' |
Due to the Licensor | $187,000 | ' |
Concentrations_Details
Concentrations (Details) | 9 Months Ended | |
Sep. 30, 2013 | Sep. 30, 2012 | |
Details | ' | ' |
Volumn of income generated with particular customer | 'Two customers accounted for 62.7% and 37.3% | 'two customers accounted for 84.3% and 15.7% 100% |
Volumn of accounts receivable with particular customer | 'Two customers accounted for 79.4% and 20.6% | ' |
Stock_Issuance_Details
Stock Issuance (Details) | 1 Months Ended |
Jul. 31, 2013 | |
Details | ' |
Common stock issued as compensation for services | 950,000 |